Bollinger Bands Energies Trend Reversals

A trader should wait for the energies price to turn in the opposite direction after touching one of the energies Bollinger bands before considering that a energies reversal is happening.

Even better a trader should see the energies price cross over the moving average.

Double Bottom Energies Trend Reversals

A double bottoms is a buy signal setup. Double top occurs when price action penetrates the lower Bollinger band then rebounds forming the first energies price low, then after a while another energies price low is formed, and this time it is above the lower Bollinger band.

The second energies price low must not be lower than the first one and it important is that the second energies price low does not touch or penetrate the lower Bollinger band. This bullish energies trading set-up is confirmed when price action moves and closes above the middle band (simple moving average).

Double Bottom - Bollinger Bands Energies Trend Reversals Trading Strategy Using Double Bottoms Chart Patterns

Double Top Energies Trend Reversals

A double top is a sell signal setup. Double top occurs when price action penetrates the upper Bollinger band then rebounds down forming the first energies price high., then after a while another energies price high is formed, and this time it is below the upper Bollinger band.

The second energies price high must not be higher than the first one and it important is that the second energies price high does not touch or penetrate the upper Bollinger band. This bearish energies trading set-up is confirmed when price action moves and closes below the middle band (simple moving average).

Double Tops - Bollinger Bands Energies Trend Reversals Trading Strategy Using Double Tops Chart Patterns